Vocabulary

Stock market фондовый рынок

Origin происхождение, (зд.) начало, зарождение

Principal главный

Intermediation посредническая деятельность

Transferable securities ценные бумаги, которые могут быть переуступлены другому лицу

Expansion расширение

Facilities (зд.) услуги

Sophisticated (зд.) сложный, более современный

To draw up составлять (документ)

Orderly упорядоченный

Increasingly все больше и больше

To integrate интегрировать, объединять

Communications средства связи

To allow позволять, делать возможным

Barrier барьер, препятствие

Isolation изоляция, обособление

To lead приводить (к чему-л.)

Internationalization интернационализация (экономики, капитала)

To force вынуждать, заставлять

Cross-border trading международная торговля

Equity (зд.) обыкновенная акция

Arbitrage арбитражные операции

To emerge возникать

Advanced countries развитые страны

Over-the-counter market внебиржевой рынок

Governing body руководящий орган

In contrast to в противоположность (чему-л.)

Network сеть

Dealer дилер, биржевой торговец

For smb’s account за чей-либо счет

Retail client мелкий клиент

To conduct руководить, управлять

Quotation котировка

To list вносить в курсовой бюллетень

Preferred stocks привилегированные акции

Listing допуск ценной бумаги к официальной торговле на фондовой бирже

Share index фондовый индекс

Indication показатель

Segment сегмент (рынка)

Exercise 2. Answer the following questions:

1. What is the Stock Market?

2. What contributed to the emergence and growth of stock exchanges?

3. Where were best organized stock markets established?

4. What general trend in the stock market development has been observed over the years of its existence?

5. What stock exchanges have become most dominant?

6. What part do they play in the financial systems of advanced countries?

7. What are the basic types of stock markets?

8. How are they conducted?

Exercise 3. Fill in the gaps with the words and expressions from the text:

1. Stock Markets are the …………. through which securities are …. and ... .

2. The origin of …………………….. goes back to medieval …………………. .

3. The appearance of formal stock markets and professional intermediation resulted from the ………………………., ……………………….. and ………………… in transferable securities.

4. The largest, most active and best organized markets were established in ……………………. and ……………………………. .

5. Members of stock exchanges drew up …………. to protect their own …………… and to ……………………….. the business to be done by creating an orderly and regulated …………………….

6. Investors were interested in a far wider range of …………………… than those issued by local ………………………… .

7. The rapid development of communications allowed stock exchanges to attract ………. more easily from all over the country and later the barriers that had preserved the ………………………. and …………………… of national exchanges were progressively removed, leading to the creation of a world market for …………………… .

8. Although many ………………. were of interest to only a small and localized group, others came to attract ………………… throughout the world.

9. In contrast to the organized security exchanges, the over-the-counter market is an ………………………………………… .

10. In addition to the listings, the financial pages of …………………….. in all countries contain ……………. ……………. and …………… …………. which give a broad indication of how the stock market, or a segment of the stock market, performed during a ……………. ……….. .

Exercise 4. Translate the words and expressions below from Russian into English and make up your own sentences with them.

1. сегмент (рынка)

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2. показатель

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3. фондовый индекс

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4. допуск ценной бумаги к официальной торговле на фондовой бирже

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5. привилегированные акции

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6. вносить в курсовой бюллетень

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7. котировка

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8. руководить, управлять

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9. мелкий клиент

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10. за чей-либо счет

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11. дилер, биржевой торговец

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12. сеть

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13. в противоположность (чему-либо)

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14. руководящий орган

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Exercise 5. Translate the words and expressions below from English into Russian and make up your own sentences with them.

1. over-the-counter market

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2. advanced countries

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3. to emerge

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4. arbitrage

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5. equity

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6. cross-border trading

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7. to force

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8. internationalization

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9. to lead

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10. isolation

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11. barrier

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12. to allow

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13. to integrate

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14. transferable securities

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15. intermediation

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16. stock market

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Exercise 6. Find in the text (of exercise 1) English equivalents for the following Russian phrases:

1. ценные бумаги продаются и покупаются

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2. главный центр торговли ценными бумагами

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3. фондовый рынок появился в результате …

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4. средство финансирования

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5. не существовало единой модели

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6. составлять правила для защиты чьих-либо интересов

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7. облегчить ведение бизнеса

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8. упорядоченный, регулируемый рынок

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9. ценные бумаги, выпущенные местными предпринимателями

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10. местные биржи были объединены в общенациональные фондовые рынки

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11. торговля корпоративными ценными бумагами расширилась

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12. покупать и продавать ценные бумаги за свой счет

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13. внебиржевой рынок осуществляет операции по телефону и с помощью компьютеров

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14. ценные бумаги, не зарегистрированные на бирже

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Exercise 7. Single out the main points of the text (ex. 1). Use the following opening phrases:

1. The text looks at (the problem of …) …;

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2. The text deals with the issue of …;

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3. It is clear from the text that …;

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4. Among other things the text raises the issue of …;

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5. The problem of … is of great importance.

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6. One of the main points to be singled out is …;

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7. Great importance is also attached to …;

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8. In this connection, I’d like to say …;

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9. It further says that … ;

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10. I find the question of … very important because …;

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11. We shouldn’t forget that … ;

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12. I think that … should be mentioned here as a very important mechanism of … .

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Exercise 8. Match the verbs from (a) with the nouns from (b) below:

a) to expand b) barriers

to develop securities

to resell stocks

to remove trading

to issue shares

to list infrastructure

to possess standards

to meet capital

to submit documents

to draw up interests

to protect rules

to facilitate market

to establish business

Exercise 9. Think of and write the verbs that are most commonly used with:

1. interest

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2. market

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3. stock

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4. share

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5. securities

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6. debt

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7. placement

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8. trading

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9. business

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10. rules

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11. documents

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12. capital

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Exercise 10. Read the text, supplying the prepositions where necessary. Name the problems of emerging markets mentioned in the text and say which of them are typical of Russia.

In 1990 the fastest rising stock markets in … world were those emerging in the developing countries. There are now more than 50 stock exchanges in … developing world: some are insignificant or dormant, others are active and growing.

It was once widely presumed that poor demand for securities would be the biggest handicap to … emergence of stock markets in the developing world. There were not enough potential buyers in developing countries. However, it is now evident that there is generally … adequate demand for securities, in both the primary and secondary markets, arising both from speculative interest and from … portfolio needs of financial institutions.

Even if the emerging stock markets have some demand-side difficulties, … more general, continuing and severe problem has been … insufficient supply of securities. The chief markets problem in developing countries is that the secondary market for bonds and shares is often inactive. There are often not enough buyers and sellers to make … steady market. Quite often institutional stockholders hold securities firmly matched against their future liabilities rather than engaging infrequent trade. When institutions do enter … secondary market they try to buy or sell in large lots, thus making a big price disturbance. As institutions amass large blocks of shares they may be tempted to exercise their market power, especially in … field of corporate takeovers.

Speculation has been common in most of the emerging stock markets and vary noticeable because of … thinness of the markets. While the opportunity for speculation is one of the chief attractions of any stock market, the line between speculation and sharp practices is something hard to draw.

Privileged placements, insider trading, short selling and other questionable practices have occurred throughout the developing world.

In these circumstances, …pure theory of international trade suggests that stock markets would not be viable in all countries but would cluster at a few points of … globe, determined by the location of factor skills and time zones.